Over the last few months, members of the TeachStreet team have spent a lot of time in the field meeting with teachers and searchers. We’ve traveled to New York, to California, to Denver and we also kicked off a series of “Tea Time” feedback sessions in Seattle. We heard a lot about where we are doing well, where we can improve and what you need. One piece of consistent feedback stood out: add payments to class listings.
Well folks, I am excited to announce that in July we will do exactly that. And, because we know that payments might not be for everyone, we wanted to give you advance notice with all the details so that you can set your account preferences before we launch.
So, first up, here’s how it will work: Student enrolls, teacher accepts, teacher gets paid.
Ok, so there are a few more details – but we promise that it’s basically that simple.
- TeachStreet users will be able to “enroll” in available sessions from Teachers who have enabled payments. Users will click a “Sign-up” button and then be given the option to confirm their enrollment request and submit payment. If a Teacher doesn’t have payments enabled then students will still be able to contact them via the “Contact Me” button.
- By default, all Teachers are opted-in to payments.
- Payments will be powered securely by PayPal.
- Teachers will have the option to accept or reject a student enrollment (within 3 business days).
- If a Teacher rejects an enrollment, the payment will be refunded in full.
- Teachers will have a management interface where they accept or decline enrollments and can review previous payments.
We’re starting with basic features to make it easy to sign-up for classes. We’ll continue to add features and management tools based upon your feedback.
So, now to fees.
We want to be upfront about our cost structure. We have tried to build out a pricing model that is fair, competitive with other alternatives in the market, and that will help both your business and our business grow.
- All transactions (payments to Teachers) will have a 4.9% Processing Fee.
- New customers (1st time payment to that teacher) carry an additional 2.5% New Customer Fee.
- At launch, all disbursements (transfer of funds to a teacher) will happen immediately when a Teacher accepts an enrollment and will have a $0.99 Disbursement Fee. We plan to move to a monthly or on-demand disbursement process at a later date. There are no fees to Disburse Payment!
- The Minimum Listing Price (cost of a class) will be $5.00 (or free).
- All listings that are free carry no transaction costs. We believe that free, should be well, free!
For example, if your class is $65.00 you would pay $3.19 in Processing Fees, plus the $0.99 Disbursement Fee. Your net payment would be $61.83. If the enrollment was for a new student (a new lead from TeachStreet), Teachers would pay an additional $1.63 for a net payment of 60.20.
In addition to the above, students will be assessed a convenience fee at the time of purchase. This fee is 5% of the listing cost with a $0.99 minimum and covers all student-related transactions costs and customer support.
Not yet ready to enable enrollments for your listings?
In July we will activate payments for all Teachers on the site (we will send a reminder when the date has been set). When payments are activated Teachers will still have the option to accept or decline an enrollment. However, we realize that some Teachers or Schools may want to turn off payments at launch. We understand that, so we have set up an opt-out process. Just complete the form below, by 9:00 AM PST on July 8th PST, and we’ll turn off the payments option at launch. If you later decide that you want to accept enrollments through TeachStreet, you can turn on payments in your account once the feature is available.
Have Questions?
Contact us – we’re here to help and would like to hear your thoughts.
UPDATE: 7.12.09 The form is now closed. If you have questions about TeachStreet Payments, please contact us.
UPDATE: 7.12.09 We have changed our fee structure to remove Disbursement Fees. This blog post has been updated to reflect that change. NJM